Bosnia and Herzegovina Exporter Guide 2016 - USDA · 16-12-2016 · 2016 Exporter Guide Bosnia and Herzegovina BK1606 12/16/2016 Required Report - public distribution . Post: Commodities:

THIS REPORT CONTAINS ASSESSMENTS OF COMMODITY AND TRADE ISSUES MADE BY

USDA STAFF AND NOT NECESSARILY STATEMENTS OF OFFICIAL U.S. GOVERNMENT

POLICY

Date:

GAIN Report Number:

Approved By:

Prepared By:

Report Highlights:

Bosnia and Herzegovina (BiH) imports approximately two-thirds of its overall food needs. The market

for processed foods focuses mainly on value rather than quality, as consumers seek to extend their

buying power. Food import tariffs are low compared to the tariffs in other countries in the region.

Challenges to exporters include a complicated dual system of government authorities, low incomes,

and poor infrastructure. This report contains marketing tips, information on importing foods, and

important points of contact.

Sanela Stanojcic

Fred Giles

2016

Exporter Guide

Bosnia and Herzegovina

BK1606

12/16/2016

Required Report - public distribution

Post:

Commodities:

Executive Summary:

I. Market Overview

Economic situation

The economy in Bosnia and Herzegovina (BiH) is still recovering from the 1992-1995 war and from the

transition from a socially planned to a market economy. An estimated per capita GDP in 2015 was

US$4,680, with a total estimated nominal GDP of approximately US$16 billion. GDP growth in 2016

is estimated at 2.6 percent (World Bank). The average monthly net salary is US$471 (KM 830) (2015).

In mid-May 2014, BiH was hit by record floods. The total economic impact of the disaster (damage to

property, infrastructure and goods and the effects of destruction on livelihoods, incomes and production)

is estimated at US$2.77 billion, which was the equivalent of 15 percent of GDP. One of the hardest hit

sectors was agriculture, with an estimated damage of US$256.5 million. As a result, agriculture yields

fell from 12 percent for grains and up to 50 percent for fruits, and livestock production dropped from

0.7 percent for cattle and 16.5 percent for poultry. However, thanks to quite favorable weather

conditions in 2015, both crop and livestock production recovered. Fruit production grew by 70 percent,

vegetable production by 22 percent, industrial crops by 16.5 percent, and grain production by 5.17

percent. Agriculture’s share of GDP has remained at the level of approximately seven percent.

A degree of macro-economic stability has been achieved with the introduction of a Central Bank,

adoption of the currency board and creation of a single currency, the Konvertabilna Marka (Convertible

Mark, KM). The currency board ensures that the KM is fully backed by hard currency or gold, and the

exchange rate is fixed at approximately 2 KM to the Euro. Due to a strict currency board regime,

inflation has been relatively low, and BiH for the first time recorded a deflation of 0.9 percent in 2014.

That was followed by a 1.0 percent deflation rate in 2015.

A highly decentralized government hampers economic policy coordination and reform. Government

spending, at roughly 50% of GDP, remains high because of redundant government offices at the State,

Entity and municipal level. One of BiH's main economic challenges since the recession began has been

to reduce spending on public sector wages and social benefits to meet the IMF's criteria for obtaining

funding for budget shortfalls. BiH's private sector is growing, but foreign investment has dropped off

sharply since 2007, because of the unfavorable investment climate.

The Executive Board of the International Monetary Fund (IMF) on September 26, 2012, approved a 24-

month US$520.6 million Stand-By Arrangement (SBA) for BiH in support of the government’s

economic program for 2012–2014. On January 31, 2014, the Executive Board approved a nine-month

extension and augmentation of the arrangement by $191 million and then on June 30, 2014 the

Executive Board approved an augmentation of $119 million to meet the country’s urgent balance of

payment needs caused by the severe floods in May 2014. On September 7, 2016, the IMF Executive

Sarajevo

Board approved a new three-year arrangement, called an Extended Fund Facility (EFF) with BIH and

released the first tranche of EUR 79.2 million immediately. BiH’s state and entity governments

committed to reduce spending on wages and increase excise taxes on fuel, among other things.

In late July 2015, BiH adopted an EU- proposed Reform Agenda for socio-economic reforms at all

levels of the government in line with the EU Acquis. According to the Agenda, BiH should improve the

functioning of the labor market, strengthen tax collection, enhance bank oversight, and improve the

business environment. The implementation of the Agenda is critical for BiH’s EU membership process

developments, as well as for the continuation of the IMF support program.

BiH's top economic priorities are: acceleration of EU integration, strengthening the fiscal system, public

administration reform, World Trade Organization (WTO) membership, and securing economic growth

by fostering a dynamic, competitive private sector. To date, work on these priorities has been

inconsistent. The country has received a substantial amount of foreign assistance, but must prepare for

declining assistance flows in the future. Still regarded as a transition economy, BiH sees the long-term

goal of EU membership as a driver to further economic growth and development.

Structure of the economy

The structure of the BiH economy is quite stable. GDP composition by sector is: agriculture 7.9

percent, industry: 26.5 percent, services: 65.6 percent (2015 est.). In 2015, estimated industrial

production growth was 3.2 percent. The major productive sectors of the economy include are industry

and mining, telecommunications, construction, trade, transportation, and agriculture. The leading

industries are steel, aluminum, minerals, vehicle assembly, textiles, tobacco products, wooden furniture,

explosives, munitions, domestic appliances, and oil refining.

During the post-war period, economic activity was characterized by the existence of large state owned

enterprises. These companies operated with significant losses, at less than full capacity, and with

outdated technology and management techniques. Lately, there has been significant growth in the

number of registered micro, small and medium enterprises. The private sector share in the GDP is

approximately 60 percent.

BiH has approximately 1.6 million hectares of land suitable for cultivation. The best prospect sectors

are fruit and vegetable, livestock, and poultry in terms of natural resources that are available and

productivity. The most important crop is corn followed by wheat and barley. Small, low-output, family

farms averaging 2-5 hectares characterize agricultural production along with low input use (fertilizers,

chemicals, and certified seeds), poor crop management and post-harvest management practices, and

poor railway and road infrastructure. Agriculture contributes approximately 8 percent to BiH’s GDP.

For the most part, agricultural production is in the hands of private owners, but farms are small and

inefficient. BiH is a net food importer.

The official unemployment rate is 27.5 percent. BiH’s grey economy is relatively large – estimates

range from 20 to 40 percent of GDP.

Business environment

BiH is composed of two entities, the Federation of Bosnia and Herzegovina (F BiH) and the Republika

Srpska (RS), each with its own business environment. Although there has been an effort to create a

single market in BiH, significant legislative, regulatory and institutional differences between the Entities

persist. Between the two Entities, factors such as business registration requirements and most taxation

and standards are separate and different. The creation of a single economic space is a precondition for:

the regeneration of BiH’s post-war economy; the transformation from a planned to a market economy;

and, greater integration into Europe and world trade structures. Significant barriers to internal and

external trade and foreign direct investment remain, and there are weaknesses in the legal base related to

competition, public procurement, financial services, standards and regulations, and the regulation of

essential services.

Foreign Trade

BiH has a large foreign trade deficit with imports almost two times greater than exports. From 2005 to

2015, total exports increased from $2.3 billion to $5.1 billion, while imports rose from $6.8 billion to

$9.0 billion. Agricultural products only represent about 9 percent of exports, but they represent 18

percent of total imports. BiH has a liberal trade regime. Bilateral free trade agreements previously

signed with many countries in the South-East European region have been replaced with the Central

European Free Trade Agreement (CEFTA), which includes Albania, BiH, Macedonia, Moldova,

Montenegro, Serbia, and Kosovo (UNMIK). The principal trading partners remain the European Union

(EU) and the countries of ex-Yugoslavia.

BiH currently has status as a potential candidate for EU membership. In February 2016, BiH submitted

its official application for membership which the EU accepted on September 20. Trade with the

European Union has been significantly liberalized and regulated through the Stabilization and

Association Agreement (SAA) Interim Agreement between the EU and BiH signed in June 2008. In

September 2016, BiH and EU initialed the Protocol on Trade to the SAA that was adapted to reflect

Croatian EU membership in July 2013. The adapted SAA will provide for unlimited duty-free access

for BiH fruits and vegetables and open higher quotas for fish and wine coming from BiH into the EU

market. On the other side, BiH will establish higher duty-free quotas for sugar, cigarettes, beef, pork,

milk, poultry products and potatoes imported from the EU. The adapted EU-BiH SAA is expected to

enter into force in the beginning of 2017.

Table 1. BiH’s Total Trade 2005-2015

Total

Trade

(billion $)

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

Exports 2.3 3.7 4.3 5.0 3.9 4.8 5.8 5.2 5.7 5.9 5.1

Imports 6.8 7.8 9.5 11.7 9.0 9.2 11.0 10.0 10.3 10.9 9.0

Source: BiH Agency for Statistics

Market share of BiH’s trading partners in 2015

BiH TOTAL EXPORTS

Table 2. BiH trading partners’ share in 2015 exports

Country Share (%)

Germany 15.72

Italy 13.52

Croatia 10.29

Serbia 8.57

Slovenia 8.33

Austria 8.27

Turkey 3.95

Montenegro 2.92

Hungary 2.10

The Netherlands 1.66

USA 0.72

Other Countries 23.95

Source: BiH Agency for Statistics

BiH TOTAL IMPORTS

Table 3. BiH trading partners’ share in 2015 imports

Country Share

Germany 12.07

Italy 11.09

Serbia 10.90

Croatia 10.55

China 5.78

Austria 6.24

Russia 5.73

Slovenia 4.88

Turkey 4.07

Poland 2.86

USA* 2.78

Other Countries 23.05

Source: BiH Agency for Statistics * Most U.S. origin products are transshipped to BiH through neighboring countries and therefore may not appear as a U.S.

origin import.

Croatian, Slovenian, German, Serbian, Austrian and Italian processed food products dominate the

market. The most imported food products are beverages (alcoholic and non-alcoholic), grains, tobacco

products, and meat and dairy products. In 2015, total U.S. agricultural and fish export to BiH were

valued at US$7.9 million (0.15 percent share of BiH’s total agricultural and fish imports from the

world) and consisted of various food ingredients, animal and vegetable fats, dried nuts and fruits, beans,

seafood, and coffee. The United States was not a key destination for BiH products, with total BiH

agricultural and fish imports valued at US$3.6 million in 2013. The key imports from BiH were mineral

water, coffee, pastry mixes, cookies and wafers, and processed fruits and vegetables. BiH is not a

member of the World Trade Organization (WTO) but is close to completing accession negotiation.

Size and Growth of Consumer Foods Market

Little official information is available about the size or growth of the market. BiH’s consumer food

retail market is estimated to be valued at US$3 billion (KM 5.5 billion), but the sector has reportedly

continued to experience a decline in sales since 2012, due to the economic crisis and BiH’s high

unemployment rate. BiH’s purchasing power is only 17 percent of the European average. There has

been significant concentration taking place in this sector, with bigger shopping centers supplanting

smaller traditional shops. The largest retail chains, Croatian Konzum (recently acquired Slovenian

chain “Mercator”) and domestic retail chain “Bingo” recorded the largest growth in 2016 and their

current market share is estimated between 50 and 60 percent. Several domestic retail chains also are

expanding their presence. “Tropic Group” from Banja Luka acquired 39 “Maxi” and “Tempo” stores

previously owned by the Belgian Delhaize Group and "Bingo" from Tuzla acquired 25 “Interex" retail

stores owned by French Intermarche. Economists believe that the domestic takeover of foreign retail

chains outlets may boost the sales of locally produced foods.

Market Opportunities for Consumer Foods and Fishery Products

The following are some of the challenges to marketing high value U.S. foods in BiH:

The weak economy affects consumer-purchasing power. An average net wage is lower than in

any country in the region and the unemployment rate is high. Therefore, people are more

interested in price than in quality;

Quality and safety controls are often erratic in part because BiH government laboratories work

with outdated technology and are ill-equipped. Therefore, labeling requirements are often not

met and low-quality products may be found on the market that undercut other products;

There are still active gray and black markets;

Fraud and corruption can be a problem, especially in relation to taxation and import duties.

However, there are market opportunities for high quality U.S. products due to the fact that consumer

awareness is improving which will eventually result in spending more money on high quality food

products. Seafood, almonds and peanut butter are already in the market.

Food Expenditures and Consumption

It is estimated that an average Bosnian family that consists of four members spends approximately

US$4,457 annually (2015) on food products (source: Entity Institutes for Statistics).

According to BiH Agency for Statistics based on the World Bank’s methodology (minimum 2,100

calories per person on daily basis), the poverty rate for BiH is 17.9 percent.

Demographic Developments and Impact on Consumer Buying Habits

BiH has a population of 3.53 million (2013 census) and an average BiH household is comprised of 3.04

members. One in ten households is run by a single parent. The population growth rate is -5.6 percent

(2014). The United Nations Development Program (UNDP) recently reported that BiH ranks as the

fourth most rural country in Europe with approximately 60 percent of the population living in rural

areas. The migration of people from rural to urban areas is by about 10 percent in every generation.

Less than half of rural households are involved in agriculture, with one-third producing food solely for

their own consumption on 1-3 hectares. Less than 1 percent is larger farms with significant agricultural

income. The majority of rural households earn income from other employment or social benefits. The

six biggest cities enjoyed 40 percent lower unemployment and 25 percent higher wages, whereas most

medium-sized towns performed worse than rural areas. In some areas, landmines remain a barrier to

agricultural production although there is a significant international de-mining effort.

Advantages Challenges

Insufficient domestic food production,

imports nearly three times larger than

exports

Long distance, bad transportation conditions, absence of

highways, limited railway service

Increased urban population Weak economy affects consumer purchasing power, low

average net wage, high unemployment rate

High quality of U.S. products Consumers more interested in price than in quality

Import duties low if compared to other

counties in the region

Illegally imported and low-quality products compete with

legitimately imported foods

Relatively low costs for introduction

and promotion of new products using

local broadcast and print media or in-

store promotions

Different distribution systems in the two Entities, different

taxation systems; difficulties in finding a reliable and

capable local partner to carry out marketing and

distribution

Increasing number of large retail

supermarkets

Domestic market flooded with products imported from ex-

Yugoslavia neighboring countries (Central European Free

Trade Agreement) and EU countries (Interim Agreement

lowers import duties for EU member-countries)

Fascination with American culture

(language, music, TV shows, fashions)

carries over to American food, such as

famous “Coca Cola”

Reservations towards GM foods due to a lack of consumer

education on the subject and a desire to meet EU

requirements

Food imports grow year by year Small businesses, limited access to finance and high

interest rates negatively affect capacity of BiH’s importers

Pork and poultry consumption

increasing as a result of high beef

prices

Pork consumption is relatively low because of BiH’s large

Muslim population

II. Exporter Business Tips

Local business customs

Importers/wholesalers/distributors provide transportation, product storage, market information,

financing, and some insurance. Finding an agent and/or distributor is the most effective way to market

consumer goods. The Foreign Agricultural Service Sarajevo Office can assist U.S. companies exporting

to BiH by identifying local opportunities for the sale of U.S. products, providing counseling on the

market, and can help you locate qualified distributors (please see the Key Contacts and Further

Information).

The distribution systems are different for the Federation (F BiH) and the Republika Srpska (RS) because

of differing legal frameworks. There have been efforts lately to harmonize rules between the two

entities, but there are still significant differences. It is often necessary to develop multiple distribution

channels and relations with distributors in both Entities in order to cover the whole country. Some

foreign companies have established a representative office in order to control distribution channels,

while some companies rely on strong local companies to control distribution channels. Local

companies prefer to do business with people they know well. Business friendships are highly valued.

Establishing a local presence and employing local people signal long-term commitment to the market,

and are well received.

Wholesalers are the real channels for providing transportation, product storage, market information,

financing, and risk management. Most wholesalers are independent full-service merchant wholesalers,

importing and distributing goods. There is a significant degree of specialization in the wholesale sector

by industry.

The most significant development in the retail market is the appearance of large retailers, such as

foreign chain Konzum from Croatia, and locally-owned retailers Bingo, Tropic and AMKO Komerc.

The introduction of the shopping mall concept has changed consumer habits and enabled larger retailers

to shift the effort of financing onto manufacturers and distributors, especially in the consumer goods

sector.

General Consumer Tastes and Preferences

Generally speaking, most consumers view price as the primary factor in their food purchasing decision.

Preferences tend toward large packages at lower prices. Shopping centers are becoming an increasingly

popular retail food sales point. Most people usually buy non-perishable foods at large supermarket

centers once or twice a month. Perishable foods, fruits, vegetables, bread and fresh meat are usually

bought at small grocery stores, specialized stores or green markets.

Consumption of red meats is traditionally high. However due to the economic downturn, consumption

has increased since 2012 of poultry meat and pork, while beef and lamb consumption has declined also

with per capita purchasing power and rising prices. We expect this trend to continue in 2017. Pork

consumption is much higher in the RS than in the F BiH, because of F BiH’s large Muslim population.

Although there continue to be periodic outbreaks of animal diseases such as brucellosis and classical

swine fever, these outbreaks do not appear to have shaken consumer confidence. BSE and FMD have

not been reported in BiH.

A typical Bosnian meal is comprised of either red or white meat, potatoes or some other vegetables.

Rice is a common dish that on average is eaten once a week. Apples are the most popular fruit. There

are only a few ethnic restaurants (e.g., Italian, Chinese and Mexican). Fish consumption is traditionally

low (approximately 2.5 kilograms/year). The demand for organic foods is quite low. Imported organic

foods are usually sold in specialized stores, and are consumed by the ex-patriot community and as a

pseudo-medicinal treatment for the sick. BiH consumers, in general, are un-informed about genetically

engineered (GE) foods and therefore leery of them. Some consumers report they would eat biotech

foods after proper testing and labeling, but they need more information to decide whether they want to

buy the product. More information could potentially change consumer attitudes towards biotechnology

in a positive direction.

In general, most people prefer to prepare meals at home from fresh food items than buy ready-to-eat and

frozen meals. There is the belief that fresh cooked food is healthier and that frozen ready-to-eat foods

are overpriced. Supermarkets do offer ready-to-eat meals, but at relatively high prices. There is a

small, but strong market segment made up of all of the foreigners in BiH (especially in Sarajevo and

Banja Luka) that work for foreign diplomatic, humanitarian and military organizations.

General Import and Inspection Procedures

Foreign exporters can import food products into BiH using a locally registered office or a local

company/shipping agency registered for import activities. It is common for agents to help with food

import regulations. Prior import approvals and licenses are required for live animals and non–heat

treated animal products, and seeds and pesticides. For animals and non–heat treated animal products the

State Veterinary Office (SVO) provides final approvals. For seeds, planting materials and pesticides the

Entity agricultural ministries provide prior approvals. Forms are available at the SVO and the

Agricultural Ministries (see Key Contacts and Further Information). It is important to note that

requirements for prior import approvals might differ between the two Entities. All products must be

accompanied with standard documents that accompany each shipment and by health certificates issued

by relevant authorities of exporting countries (e.g. veterinary certificate for meat and meat products,

phyto-sanitary certificates for fruits, vegetables, seeds etc.) and are subject to veterinary and phyto-

sanitary inspections at border crossings and sanitary and market inspections at customs points.

A GMO free certificate or a GMO-related statement included in the health certificate is often required

for grains and similar products. That’s because BiH’s has adopted GMO Law and enforcing by-laws

stipulate mandatory labeling of GMO content above a 0.9 percent threshold.

Sanitary inspectors visually inspect all food for sanitary wholesomeness prior to customs clearance and

take samples for laboratory testing (Appendix II). Imported goods are held at the customs point until

testing is complete.

Market inspectors inspect the quality certificates at inspection points (see Appendix I). Quality control

inspections are done at the exporter/importer’s written request, which should be received at least 24

hours prior to the customs clearance. The request for quality control must include the basic documents

that accompany the shipment, translated into Bosnian/Croatian for the F BiH or into Serbian for the RS.

The following information must be provided in the documents: type and name of product, country of

origin, exporter’s name, manufacturer’s name, type and number of transport means, port of loading and

unloading, total pieces, packaging unit, gross and net weight and product’s basic quality data. If the

same product is imported again, and has been tested within 90 days, only a visual check is done. Both

Entities have officially recognized laboratories to test imported food products. If a market inspector

rejects an importer’s request, goods are stored until the procedure is complete - the inspector can order

the return or destruction of goods, if necessary, at the importer’s expense, or can order certain actions to

be taken prior to customs clearance.

III. Market Sector Structure and Trends

Domestic Industrial Capacity

Before the war, the food industry was concentrated in large state-owned companies that were also

involved in primary agricultural production, processing and wholesale and retail operations. However,

at the end of the war, the agro-processing industry was operating at less than 10 percent of its pre-war

capacity due to heavy damage to buildings and equipment. In addition, the raw material supply and

sales channels had been disrupted. The agricultural production and the food industry continued to suffer

during the transition from a planned to a market economy. Some large pre-war companies are still

being privatized and are racking up losses. There are still a few companies that have rebuilt successful

fruit, vegetable, and meat processing operations. In general, the BiH food industry is still too small and

inefficient to compete with large foreign industries. Domestic food production is insufficient and covers

approximately 30 – 35 percent of total needs.

Food Retail Sector

In general, small retailers are slowly losing out to large wholesalers with developed retail operations.

Over the last fifteen years, the appearance of shopping centers (malls) has been significant and has

prompted significant changes in the retail market. The largest foreign retail chain, Croatian Konzum is

being challenged by local food retailers (Bingo, Tropic and AMKO Komerc) that have consolidated

their presence and are becoming increasingly competitive.

Shopping centers import and distribute food and offer a great variety of fresh meat, exotic and new-to-

market foods, and ready-to-eat foods. They also provide good professional service, restaurants with

ready meals at favorable prices and a festive environment (entertainment for kids, clowns, and games/

lotteries). Quite often, they organize in-store promotions and product tastings and provide small gifts

with purchased products. A special discount is offered to faithful customers. Food items are also sold

in a number of small independent groceries and open markets.

Hotel, Restaurant and Institutional (HRI)

Table 4. Turnover in catering 2000 - 2014

Year Federation of BiH

Total turnover (000 KM)

Republika Srpska

Total turnover (000 KM)

2000 68,900 54,584

2001 60,784 48,312

2002 71,010 47,917

2003 76,270 53,046

2004 85,113 53,512

2005 86,754 49,814

2006 95,281 65,794

2007 118,786 77,341

2008 135,697 101,298

2009 131,784 103,335

2010 140,905 104,427

2011 139,943 105,607

2012 162,703 111,466

2013 172,649 117,708*

2014* 202,540 - Source: Federation and Republika Srpska Institutes for Statistics US$ 1.00 = KM 1.83 *Latest available data.

The HRI sector prepares the meals themselves. They buy ingredients from a range of suppliers,

including small grocery stores and green markets to big producers, retail centers and wholesalers,

depending on the size of the commercial entity/institute and the number of meals.

Tourism, tourism promotion, and the hospitality and catering industry are regulated at the Entity level.

This has resulted in significant differences in the requirements across the sector, differences based on

the way funding for tourism promotion is collected and distributed, and differences in the way

accommodation is classified. Lately, there has been a growing consensus that tourism can be a major

source of job growth and foreign exchange earnings for Bosnia and Herzegovina. According to foreign

experts, BiH has a large potential as a tourist destination that could generate significant jobs and

revenue for the BiH economy.

Promotional and Marketing Strategies

Advertising that used to be the single marketing tool in BiH is now combined with direct marketing

(door-to-door contacts, material distribution and special offers). The most popular advertising media

are television, radio, newspapers and magazines. In addition, outdoor advertising is becoming more and

more popular (billboards, bulletins, and displays in urban areas and on sides of the road). Recent data

indicates that 68 percent of adverting is conducted through TV, followed by 20 percent through outdoor

advertising, while radio and print media account for 6 percent each. Also, cable television is rapidly

developing in the urban areas of BiH. Radio is the most popular marketing tool at the local level.

Direct mailing is also becoming a popular advertising tool (leaflets placed under car windshield wipers,

mailbox brochures, or advertising materials placed in newspapers). Quite often, in-store promotions

and informal gatherings are used for presentations of the product. Supermarkets often deliver flyers

about products and special discounts.

Trade events and fairs are a good way to market products and services in BiH and to find partners and

distributors. The trade fair sector in BiH has been growing rapidly. Fairs provide opportunities for

local and foreign companies to establish business connections. Trade events are held throughout BiH.

Mostar’s “International Trade Fair" is the most popular in the Federation and Banja Luka’s “Food and

Beverages Fair” is the most popular in the Republika Srpska. Regional centers like Zenica, Tuzla, and

Bihac are very active in trade promotion. Approximately 60 percent of the BiH population uses the

Internet regularly, but food sales are still very small.

Prod

uct

Cate

gory

Mar

ket

Size

201

5

imp

orts

(in

Ave

rag

e

Ann

ual

Import Tariff Rate 2015 Key

Constr

aints

of

Marke

Market

Attract

iveness

for

USA

mill

ion

US

$)

Imp

ort

Gro

wth

(201

0-

201

5)

t

Develo

pment

Beer 1,90

0,00

0

hecto

liters

(est.)

83.0 2.3

%

http://www.mvteo.gov.ba/zakoni/podzakonski

_akti/default.aspx?id=7076&langTag=bs-BA

Brewer

ies

produci

ng

more

than

400,00

0 hl

annuall

y pay

higher

excise

tax

(US$0.

25/liter

)

Traditio

nal

high

consum

ption,

demand

and

consum

ption

should

continu

e to

grow

Beve

rages

and

Mine

ral

Wate

r

N/A 80.3 3.3

%



Compet

ition

from

key

supplie

rs such

as

Croatia

and

Serbia

N/A

Choc

olate

N/A 76.0 2.2

%



Compet

ition

from

key

Europe

an

compan

ies

Negligi

ble

local

product

ion

Bisc

uits

and

N/A 66.1 1.8

%



No N/A

http://www.mvteo.gov.ba/zakoni/podzakonski_akti/default.aspx?id=7076&langTag=bs-BA








Cook

ies

Coff

ee

20,0

00

MT

54.4 9.0

%

http://mvteo.gov.ba/zakoni/podzakonski_akti/

11012016_CT_BS_2016.pdf

No Traditio

nally

high

consum

ption

Chee

se

40,0

00

MT

33.5 4.4

%


11012016_CT_BS_2016.pdf

Compet

ition

from

key

Europe

an

supplie

rs

Insuffic

ient

local

product

ion and

growin

g

demand

Sauc

es

and

Spic

es

N/A 25.9 2.7

%


11012016_CT_BS_2016.pdf

No Insuffic

ient

local

product

ion

Citru

s

Fruit

N/a 20.7 3.2

%


11012016_CT_BS_2016.pdf

Compet

ition

from

key

supplie

rs:

Greece,

Italy

and

Turkey

Insuffic

ient

local

product

ion and

growin

g

demand

Ice-

crea

m

2,50

0

MT

(est.)

11.6 7.6

%


11012016_CT_BS_2016.pdf

Compet

ition

from

key

supplie

rs such

as

Croatia

BiH

has

limited

domesti

c

product

ion.

Tree

Nuts

10.3 8.3 8.8

%


11012016_CT_BS_2016.pdf

Compet

ition

from

key

supplie

rs (i.e.

Romani

a, Italy

Insuffic

ient

local

product

ion

http://mvteo.gov.ba/zakoni/podzakonski_akti/11012016_CT_BS_2016.pdf












and

Iran),

and

most

econom

ic

supply

preferre

d even

if lower

quality

V. Key Contacts and Further Information

FAS/USDA U.S. Embassy to BiH

1 Robert Frasure Street

71000 Sarajevo


Phone: +387 33 704 305

Fax: +387 33 659 722

Contact person: Sanela Stanojcic

E-mail: [email protected]

https://sarajevo.usembassy.gov/fas.html

State Veterinary Office Titova 9a

71000 Sarajevo


Phone: +387 33 565 700

Fax +387 33 565 725


http://www.vet.gov.ba/

BiH Plant Health Administration Titova 9a

71000 Sarajevo


Phone/fax: +387 33 290 700 and 290 711


http://www.uzzb.gov.ba/

F BiH Ministry of Agriculture, Water Management and Forestry Marka Marulica 2

71000 Sarajevo


mailto:[email protected]


http://www.vet.gov.ba/


http://www.uzzb.gov.ba/

Phone: +387 33 726 537

Email: [email protected]

http://fmpvs.gov.ba/

RS Ministry of Agriculture, Forestry and Water Management Trg Republike Srpske 1

78000 Banja Luka


Phone: +387 51 338 415

Fax: +387 51 338 865

http://www.vladars.net/sr-SP-Cyrl/Vlada/Ministarstva/mps/Pages/default.aspx


F BiH Inspectorate Fehima ef. Curcica 6

71000 Sarajevo


Phone: + 387 33 563 350

Fax + 387 33 563 351

[email protected]

http://www.fuzip.gov.ba/

RS Inspectorate Trg Republike Srpske 8

51000 Banja Luka


Phone: + 387 51 337 627

Fax: +387 51 307 955


http://www.inspektorat.vladars.net/

Indirect Tax Administration Ulica Bana Lazarevića bb.

78000 Banja Luka


Phone: +387 51 335 494

Fax: +387 51 335 101


http://www.uino.gov.ba/

American Chamber of Commerce in Bosnia and Herzegovina PC Unitic, Tower B, 3, Floor

Fra Andjela Zvizdovica 1

71000 Sarajevo


Phone: 387-33-295 500


http://fmpvs.gov.ba/

http://www.vladars.net/sr-SP-Cyrl/Vlada/Ministarstva/mps/Pages/default.aspx



http://www.fuzip.gov.ba/


http://www.inspektorat.vladars.net/


http://www.uino.gov.ba/

Fax: 387-33-295 503


http://www.amcham.ba/

BiH Foreign Trade Chamber Branislava Djurdjeva 10

71000 Sarajevo


Phone: +387 33 566 222

Fax: +387 33 214 292


http://komorabih.ba/en /

F BiH Chamber of Economy Branislava Djurdjeva 10

71000 Sarajevo


Phone: +387 33 663 370 and 667 940

Fax: +387 33 663 632 and 663 635


http://www.kfbih.com/

RS Chamber of Commerce Djure Danicica 1/II

78000 Banja Luka


Phone: +387 51 215 744

Fax: +387 51 215 565

E-Mail: [email protected]; [email protected]

http://www.komorars.ba/pkrs/#

FIPA - Foreign Investment Promotion Agency Grbavicka 4

71000 Sarajevo


Phone: +387 33-278 080

Fax: +387-33 278 081


www.fipa.gov.ba

BiH Institute for Accreditation Hamdije Cemerlica 2/7

71000 Sarajevo


Phone: +387-33-715-560

Fax: +387-33-715-561


http://www.amcham.ba/


http://komorabih.ba/en


http://www.kfbih.com/



http://www.komorars.ba/pkrs/


http://www.fipa.gov.ba/


http://www.bata.gov.ba

BIH Intellectual Property Rights Institute Kralja Petra Kresimira IV/8a.

88000 Mostar


Phone: +387 36 334 381


http://www.ipr.gov.ba/en

APPENDIX I. STATISTICS

TABLE A. KEY TRADE & DEMOGRAPHIC

INFORMATION

YEAR

VALUE

Agricultural Imports From All Countries ($Mil) / U.S. Market

Share (%) 1/

2015 738.8/0.4

Consumer Food Imports From All Countries ($Mil) / U.S.

Market Share (%)1/

2015 852.4/0.4

Edible Fishery Imports From All Countries ($Mil) / U.S. Market

Share (%)1/

2015 35.4/3.7

Total Population (Millions) / Annual Growth Rate (%) 2013/2014 3.5/ -5.6

Urban Population (Millions) / Annual Growth Rate (%) 2/

2006 1.7/0.3

Number of Major Metropolitan Areas 3/

2014 0

Size of the Middle Class (Millions) / Growth Rate (%) n/a n/a

Per Capita Gross Domestic Product (U.S. Dollars) 2015 4,680

Unemployment Rate (%) 2015 27.5%

Per Capita Food Expenditures (U.S. Dollars) 4/

2015 1,114

Percent of Female Population Employed 2014 41%

Exchange Rate 12/5/2016 US$1.00 =

1.830KM

Footnotes: 1/

Data from BiH Agency for Statistics 2/

The latest available data 3/

There are no metropolitan areas with population in excess of 1,000,000 4/

The figure represents food expenditures for a basket composed of necessary food products


http://www.bata.gov.ba/


http://www.ipr.gov.ba/en

Documents

Bosnia and Herzegovina Exporter Guide 2016 - USDA · 16-12-2016 · 2016 Exporter Guide Bosnia and Herzegovina BK1606 12/16/2016 Required Report - public distribution . Post: Commodities: